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BTC $96,420 +2.34% ETH $3,280 +1.82% SOL $185.40 -0.92% BNB $642.50 +0.45% XRP $2.18 +3.12% DOGE $0.082 -1.50% ADA $1.05 +0.80% AVAX $42.10 +1.15%
BTC $96,420 +2.34% ETH $3,280 +1.82% SOL $185.40 -0.92% BNB $642.50 +0.45% XRP $2.18 +3.12% DOGE $0.082 -1.50% ADA $1.05 +0.80% AVAX $42.10 +1.15%
08/21/2026

Trader Loses $24M on ETH Short in 12 Seconds Amid Market Rally

What happened: The wallet "pension-usdt.

Trader Loses $24M on ETH Short in 12 Seconds Amid Market Rally

What happened: The wallet "pension-usdt.eth" suffered a $24 million loss after a 50,000 ETH short position on Hyperliquid was liquidated in just 12 seconds across five rapid-fire orders. The trader, previously known for amassing $49 million in short-selling profits, saw about half of those gains wiped out as ETH surged 18% in 24 hours and BTC rallied from $64,000 to $70,000.

Why it matters: The event underscores the risks of high-leverage trading during volatile market conditions. Large liquidations can exacerbate price moves, creating feedback loops that punish even experienced traders. The episode also highlights the growing influence of on-chain derivatives platforms like Hyperliquid, where liquidation mechanics and insurance funds play a visible role in market structure.

Source: CoinDesk